Model Portfolio Service: Q3 2019 update

Both equity and bond markets made progress in the third quarter

Developed market equities pushed higher during the quarter, once again led by "quality" and "growth" stocks - namely the consumer staple and technology sectors.

Portfolio positioning and market review

During the quarter we rebalanced the models. With the impact Brexit is having on the UK economy as negotiations continue to rumble on, we reduced our UK equity weighting and added to a global equity tracker. We also sold out of the RWC US Absolute Alpha Fund and took some profits from the Architas Diversified Real Assets Fund, with the proceeds used to initiate a position in the Atlantic House Defined Returns Fund - a specialist fund investing in structured products.  

Outlook for the rest of the year and beyond

Market volatility is likely to persist this year and going into 2020, we therefore believe models hold sufficient alternatives to help manage this.

This article is issued by Cazenove Capital which is part of the Schroder Group and a trading name of Schroder & Co. Limited, 1 London Wall Place, London EC2Y 5AU. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Nothing in this document should be deemed to constitute the provision of financial, investment or other professional advice in any way. Past performance is not a guide to future performance. The value of an investment and the income from it may go down as well as up and investors may not get back the amount originally invested. This document may include forward-looking statements that are based upon our current opinions, expectations and projections. We undertake no obligation to update or revise any forward-looking statements. Actual results could differ materially from those anticipated in the forward-looking statements. All data contained within this document is sourced from Cazenove Capital unless otherwise stated.

Contact Cazenove Capital

To discuss your DFM requirements, or to find out more about our services and how we can help you, please contact:

Nick Georgiadis

Nick Georgiadis

Head of DFM Team
Simon Cooper

Simon Cooper

Business Development Director